Gambling operator 32Red Plc revealed record net gaming revenue for 2015. The company generated a total of £48.6 million, up 51% year-on-year. In comparison, the amount of £32.1 million was reported for 2014.
32Red attributed the increase to a 35% growth in its core business as well as to a contribution from the Roxy Palace brand. The company purchased the online business on July 14, 2015. Net gaming revenue from Roxy Palace amounted to £5.2 million. Following the completion of the acquisition deal, Roxy Palace was relocated to Gibraltar, with the integration of its operations being completed in December 2015.
In 2015, 32Red Casino generated the total amount of £39.3 million, up 34% year-on-year. Other products offered by the 32Red brand contributed £2.4 million last year, up 42% as compared to the figures posted for 2014.
32Red’s underlying net gaming revenue totaled £41.7 million during the period in review, up 35% year-on-year. Income from the company’s Italian operations increased 54% to reach £1.7 million. Overall revenue generated by the 32Red brand amounted to £43.4 million, up 35% as compared to the figure posted for the previous year.
Commenting on its financial performance during the first nineteen days of 2016, 32Red said that the period has been strong for the company and all its products. Revenue for the aforementioned period increased 27% as compared to what was reported for the corresponding period in 2015 and 54% including the income generated by Roxy Palace.
32Red CEO Ed Ware said that the company had a record revenue increase, despite the regulatory and tax hurdles it had to face in 2015. The executive attributed the excellent performance to his company’s strength as well as to its dedicated team, and first-class marketing.
The gambling operator is to announce its preliminary results on March 10, 2016. Given the strong organic growth and Roxy Palace’s smooth integration, 32Red expects EBITDA to be a little bit ahead of the initial expectations for 2015.
In addition, Mr. Ware said that the record revenue growth was also a direct response to the company’s effective marketing investment over the past 12 months. The executive pointed out that marketing costs are to be increased in 2016 and that he believes the company will report even stronger progress in the months to come.
